Resource Equipment

After some difficult years,
Resource Equipment
(formerly RER Group) has turned a corner. So far this year, its shares have climbed 37.5 per cent. Resource Equipment, a water management company for the mining industry, is on track to achieve its seventh straight year of double-digit revenue growth. Resource Equipment estimates 70 per cent of Australian mines have water management issues, of which 90 per cent run water management in-house. RBS Morgans says the company is positioned to grab a slice of the in-house business and rates it as a “buy". But even if Resource Equipment achieves its 71¢ target price, it will be far off its record high of $11.20, reached in 2005.